Abstract
In this paper three specific areas and their impact of corporate governance are analysed. The first part of the article questions the adequacy of current obligations under German law to inform shareholders of a financial crisis. The risk that directors and other managers will make risky decisions because of a desire to avoid insolvency and the rules governing corporate conduct in situations of insolvency or near-insolvency in Germany are considered and contrasted with the English approach. The approach to supervision of financial institutions, and the potential for these rules to apply to companies other than financial institutions, are considered. The current rules for financial institutions in Germany, and the ways in which the managements and auditing of such companies differs from the norm are analysed. The potential for Islamic law to have an effect on the management of corporations forms the subject matter of the final part of this article. The role of Sharia Supervisory Boards (SSB) in the German unitary and two-tier systems, and the proper classification of such boards are thoroughly explored. The possible consequences for SSBs and the corporations that use them under the German laws on Corporate Governance are considered. The article concludes with a summary outlining the ways in which Corporate Governance affects the areas covered; business rescue laws, supervisory laws for financial institutions, and Islamic Financial Institutions.
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